It already has, with mixed results. Chinese online dealers offer McIntosh MC275 clones for less than a third of the cost of the original. Many people love the sound and at a price much easier to afford. Then there are the number of $1k tube integrated amps built in the Line Magnetic facility. These have been met with mixed results with lots of people moving on from them. Same with the myriad of other amplifier clones.
Ali Express sells pretty much any type of speaker clone along with rack, stands and cable clones at fractional pricing.
And of course the DACs being built are extremely popular.
Like it or not it is here to stay and growing.
One thing to remember, made in China but designed by companies with solid histories and engineering capital is far different than turn-key China made products.